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WANDEL v. EISENBERG

60 A.D.3d 77 (2009)

871 N.Y.S.2d 102

ARNOLD WANDEL, Derivatively on Behalf of BED BATH & BEYOND, INC., Appellant, v. WARREN EISENBERG et al., Respondents, and BED BATH & BEYOND, INC., Nominal Defendant-Respondent.

Appellate Division of the Supreme Court of New York, First Department.

Decided January 13, 2009.

Attorney(s) appearing for the Case

Federman & Sherwood, Oklahoma City, Oklahoma (William B. Federman of counsel); Pomerantz Haudek Block Grossman & Gross, LLP, New York City (H. Adam Prussing and Jeremy A. Lieberman of counsel), and Law Offices of Marc S. Henzel, Lawrence (Marc S. Henzel of counsel), for appellant.

Proskauer Rose LLP, New York City (David M. Lederkramer, Karen E. Clarke and John H. Snyder of counsel), for respondents.

NARDELLI, MOSKOWITZ, ACOSTA and DEGRASSE, JJ., concur.

OPINION OF THE COURT

SAXE, J.P.

Following this Court's recent reinstatement of a shareholder derivative action based upon claims that a majority of the board of directors knew or had enough specific information that they should have known of the company's practice of backdating stock options (see Matter of Comverse Tech., Inc. Derivative Litig., 56 A.D.3d 49 [2008]), we must now further consider the amount of knowledge...

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